Divorcing? What do You do With Your House?

divorce real estate equity

Home’s Equity To Be Divided Equally Between Two Parties In Divorce

divorce real estate equityYou have agreed to a divorce. Now for the difficult and often unpleasant task of dividing the assets. Sure, you can agree who gets the tv and who gets the dishes, but the most difficult division is often how do you “divide” the house. Generally speaking, the home is considered a marital asset and the equity needs to be divided equally between the two parties.

Perhaps the home was bought by one of you before you were married. In that case it may be considered non-marital property. However, if both parties have been put on the deed or if the home was refinanced in both of your names, then the house will likely be considered marital property regardless of who paid for the house initially. Of course, if you purchased a home together during the marriage then it is definitely a marital property and the equity needs to be divided.  The sticky part about splitting the value of a home is that it is not a liquid asset.

Often one of you will want to remain in the home, especially if you have children attending school in the … Read More... “Divorcing? What do You do With Your House?”